Good morning team, Chris Conway your Chief Market and Trading Strategist here with your First Look.
SPI futures are pointing to a 70-point plunge for the Aussie market on the open, after US markets fell sharply overnight.
The S&P 500 abruptly ended an unprecedented stretch of calm on American equity markets, as the VIX spiked to its highest since April.
The Dow slumped 200 points, whilst the yield on the US 10-year Treasury shed 5 basis points, to 2.20%.
What’s on today:
Local data: RBA Governor Lowe speaks before House of Rep. Economics Committee; New Zealand Business NZ manufacturing PMI July
Earnings: NAB quarterly trading update, REA full year results
Overseas data: US consumer price index July; Fed speakers: Kaplan, Kashkari
SPI futures down 70 points (-1.3%) to 5629
AUD -0.2% at 78.73 US cents
On Wall St, Dow -0.9%, S&P 500 -1.5%, Nasdaq -2.1%
In New York, BHP -1.8%, Rio -1.7%
In Europe, Stoxx 50 -1%, FTSE -1.4%, CAC -0.6%, DAX -1.2%
Spot gold +0.6% to $US1284.39 an ounce
Brent crude -0.9% to $US52.23 a barrel
Iron ore +$US1.22 to $US76.68 a tonne
Dalian iron ore +0.7% to 567 yuan
Steam coal +0.7% to $US95.85, Met coal +0.3% to $US194.00
LME aluminium +0.3% to $US2037 a tonne
LME copper -0.9% to $US6423 a tonne
10-year bond yield: US 2.20%, Germany 0.41%, Australia 2.65%
What happened overnight: